Are Low Volatility ETFs the New Momentum Stocks?

Are Low Volatility ETFs the New Momentum Stocks?

Assessment

Interactive Video

Business

University

Hard

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The video discusses ETFs designed to mitigate volatility, specifically USMV and SPLV, which have performed well during uncertain times. These ETFs focus on defensive stocks and differ from VIX-tracking ETFs. Despite recent low volatility, these ETFs have outperformed the market, attracting significant investor interest. The video concludes with a recommendation to invest in low volatility ETFs as a strategy to manage cash in the current market.

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2 questions

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1.

OPEN ENDED QUESTION

3 mins • 1 pt

What has been the performance of the ETFs year-to-date compared to the overall market?

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2.

OPEN ENDED QUESTION

3 mins • 1 pt

Why are investors currently recommended to consider low volatility stocks and ETFs?

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